Leadership Approach within Nike, Inc.
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Leadership Approach within Nike, Inc.
Leadership studies have gained significance within the last decade owing to the benefits gained by the organization. Many companies have an enhanced focus on the discipline after its recognition as a key factor in the elevated level of progress within Nike. One of the emerging phenomena has been shared leadership. Shared leadership is an approach that widely spreads duties associated with management and administration. In this way, team members and organizations are equally responsible for determining the direction taken. The structure of the respective strategy closely resembles that of horizontal leadership; it is a breakaway from the conventional hierarchical leadership that concentrates on the single leader rather than a group. The focus of this analysis will be on Nike, an international company that specializes in developing footwear and sports equipment.
Major Changes in Nike that Contributed to Its Success
Nike has managed to implement several changes in its leadership thinking, learning, and strategy that contributed towards its success. The leadership shifted its focus to the employee and demanded increased productivity by expanding their potential. The leaders, including the CEO, use difficult questions to trigger new ways of perceiving the challenges within the company. At the same time, the approach to leadership broke the bureaucratic barriers and allowed for a tighter connection between the employees and executives. This tactic is different from micro-management in that it involves self-drive on the part of the subordinate. Within its ranks, Nike had leaders who multiply the potential of their employees. Generating solutions raises the employees’ independence and confidence in addressing organizational problems.
Regarding learning, Nike Inc. has ensured that it gives the entire workforces a chance to think for themselves. They are relentlessly questioned, and this guarantees that they do not become too complacent with a specific way of thought. The company expects employees to challenge their character and ask decisions constantly. Encouraging such processes allows the workforce to focus on implementing actions that benefit the organization’s aims.
Since 2014, Nike has either reassigned or retired most of the executives to suit their evolving objectives. The exact changes affected the management with the intention of realigning the company’s focus towards the customers. The modifications also ensured faster innovation, sophisticated design, and the alignment of product and merchandising. Concerning succession, Nike had also planned for a smooth transition. Their succession strategy involved selecting experienced and dedicated managers possessing the knowledge, acumen, and brand knowledge necessary to perpetuate growth for at least half a decade. The measure adopted by the firm has enabled it to concentrate on accelerating its evolution to ensure that it attains a significant competitive edge in its market.
How Nike Achieved Balance over Competing Agendas
Within a multinational organization such as Nike, Inc., various agendas exist between the individuals and departments that have the potential to derail the realization of the entity’s objectives. Silo areas in the company represent a phenomenon in which specific divisions or sectors deliberately refuse to divulge information with the remaining department. The action delays the speed of productivity and the realization of different goals through collaboration. Nike Inc. sought to eliminate the issue of silo areas within its ranks in several ways. One of these approaches involved eliminating the duplication of duties within the departments. Nike had to redefine the roles played by all the employees, which resulted in the eradication of redundancy. Specificity is another vital aspect that the company adopted. The management was able to allocate duties with set deadlines for each worker. Since then, the company replicated the system in all departments from the executives to the factories that manufacture the goods.
When affected by misaligned priorities, Nike, Inc. implemented a comprehensive approach that facilitated the inclusion of all the teams in the prioritization process. The departments also embraced confluence to promote the distribution and management of the workflow across the organization. To a lesser extent, confluence provided for collaboration on the goals. Apart from uniting teams to focus on the same objectives, the recognition of overarching goals permitted the management within Nike to break down the single tasks that contribute towards the realization of more critical purposes. The other issue derived from having silo tendencies within Nike was that it restricted cooperation among divisions. The partnership was informal, making it challenging to quantify the outcomes. The company resolved the problem by ensuring that it integrated all the elements of collaboration into the structure. In this way, the rest of the competitors as well as the entire industry formalized and acknowledged the dimensions.
Groupthink was also present in the departments within the greater organizational culture. Employees usually relied on a specific way of thinking about different things. The company addressed the issue by modeling disagreement at the highest levels of authority. Rather than having disorganized sessions of expression, Nike always ensured that teams of employees were included in the decision-making process. Teams that disagreed with the group mentality were rewarded while differences were embraced. The strategy was a clear indication of the leaders’ unfamiliarity with subjects that involved cohesion and conflict among teams. In conclusion, the departmental heads at Nike exhibited a clear understanding of their responsibilities. By embracing support, communication, and teamwork, the management ensured that they could work comfortably across the silos. The application of dimensions such as engagement and collaboration with teams and stakeholders allowed Nike to succeed in rectifying silo areas and the resultant consequences. The vital aspect of Nike’s strategy was ensuring a constant flow of knowledge and information across the departments.
How Collective Actions Drive Strategic Leadership at Nike
Nike managed to become one of the most successful international manufacturers and vendors of sportswear through a combination of different factors. The core factor among them is the excellent leadership as well as other marketing and reputation factors. The leadership strategy adopted by the company has imposed a considerable influence on its success. The Chief Executive Officers (CEOs) that have been appointed over the years have all applied informed decisions that have modified Nike into a global competitor. The current CEO, Mark Parker, has also played his role in ensuring that Nike’s sales have doubled. The unconventional way in which Parker handles the organization facilitates its survival. Rather than adopting a rigid corporate approach, Nike’s leadership focuses on the art, and this has allowed them to break most industrial norms.
At a personal level, the chosen leaders are equally motivated by the need to inspire the workforce to generate their ideas. It is difficult to describe Nike’s leadership style because of its hybrid nature. For instance, it is common to witness the CEO becoming involved with the innovation of new technologies. The adoption of diverse leadership approaches is highly dependent on the situation. On other occasions, the best method is an aggressive and fast strategy. The leadership style mimics a top-down structure that always works to enable widespread participation across all levels of the organization. Ideas may originate from the lower levels, but the directives and support originate from the executives. Most of Nike’s CEOs have been in constant contact with the bottom, and this allows them to experience the challenges and come up with relevant solutions. Furthermore, the application of a hierarchical framework has allowed the organization to facilitate communications with internal stakeholders, especially the employees, hence integrating them as a viable part.
Being aware of the different stages of production and distribution also allows the CEO to make an informed decision concerning the future of the organization. Nike, Inc. has illustrated to the whole world that it is capable of growing and evolving at a rapid pace to counter emerging issues in the internal and external environment. As mentioned above, the company does not have a dominant leadership style. Instead, it alternates and modifies different leadership styles depending on the circumstances. While the approach is highly risky and unstable, Nike has managed to perfect their strategies and come up with a hybrid leadership style. In this approach, CEOS and the rest of the management assume a hands-on method that allows them to have the first-hand information necessary to make accurate decisions. In the future, Nike, Inc. will be capable of dominating the sportswear industry. The rationale is attributable to the company’s dependence on sophisticated technology. The popular self-lacing shoes are a classic example of the firm’s investment in scientific modifications. Organizations that adapt to the dynamics of their environment gain an advantage over their competitors. The outcome shows why Nike’s predisposition towards innovation will provide it with a substantial market share in the long-term.